ISLAMABAD: Government measures aimed at addressing the economic challenges stemming from heightened tensions in the Middle East and tensions between Iran and the United States have begun to show results, with billions of rupees saved under the first phase of an austerity drive.
According to documents issued by the Ministry of Finance, the federal and provincial governments collectively saved Rs188.57 billion during the first phase of the austerity campaign.
Rs188.57bn Saved Between March 9 and June 19
Official figures show that the savings were recorded between March 9 and June 19, with spending cuts and reduced fuel consumption contributing significantly to the reported savings.
The federal government alone saved Rs127 billion through a series of austerity measures, including a 50% reduction in official vehicle fuel quotas.
Government departments and related public-sector entities were also reported to have saved an additional Rs100 billion through improved management and spending controls.
Provincial Governments Also Report Savings
Provincial governments also contributed to the reported savings during the period. The figures provided in the documents are as follows:
Punjab: Rs26.41 billion
Khyber Pakhtunkhwa: Rs4.52 billion
Balochistan: Rs2.57 billion
Sindh: Rs810 million
Gilgit-Baltistan: Rs990 million
Savings Used for Public Relief
According to the Ministry of Finance documents, the savings generated through the austerity measures were used to provide relief to the public.
A total of Rs145.78 billion was spent on relief measures, including free travel on public buses for one month and special fuel subsidies for motorcyclists and transport operators.
Rs22.27bn Returned to Provinces
The documents further show that Rs22.27 billion from the reported savings was returned to the respective provinces.
After accounting for expenditures on public relief measures and refunds to the provinces, Rs20.49 billion remained available, according to the Ministry of Finance documents.
